Checking in on the “Yale Model”

For many years now, institutional investors have consistently tried to follow the lead of theYale Endowment and its talismanic leader, David Swensen, by investing heavily in illiquid alternative investments such as private equity via hedge fund vehicles. Indeed, the so-called “Yale Model” has been perhaps the primary investment innovation in the institutional space over the past 25 years. But the times they are a-changin’.